Small Business owners who have suffered due to the Coronavirus outbreak but not been paid out on their business interruption insurance policy have been given hope by the latest High Court judgement. Some insurance policies cover for business interruption from infectious or notifiable diseases (‘disease clauses’) and non-damage denial of access and public authority closures or restrictions (‘denial of access clauses’). In some cases, insurers have accepted liability under these policies. In other cases, insurers have disputed liability while policyholders considered that it existed.
The recent judgement from the High Court followed a test case raised by the Financial Conduct Authority (FCA), with a sample of 21 different insurance policies and their clauses being ruled on. Details of the ruling here.